Senate committee reports SB30 with amendments after subcommittee spending and tax changes; electronic vote 11-0-3

The Senate committee voted to report Senate Bill 30 as amended after a series of subcommittee reports that add targeted investments and revenue adjustments to the governor's introduced budget.

Madam Chair opened the session by framing the package around affordability and long-term fiscal stewardship, saying the committee aimed to provide immediate relief while protecting core services. The amended package includes a tax rebate to be issued around Oct. 15, a temporary boost to standard deductions, and a set of subcommittee-directed investments in education, health and human services, housing, water quality and transportation.

Health and Human Resources Subcommittee recommendations included $591,200,000 in Medicaid savings strategies and a $90,000,000 Medicaid reserve in the first year to stabilize program costs, restoration of a prenatal program, $200,000,000 in first-year assistance to help residents facing higher individual-market premiums after the lapse of enhanced premium tax credits, and additional funding to the Children’s Services Act and related savings strategies. The subcommittee also proposed targeted public health and clinic support funding.

The Education Subcommittee, reported by Senator Locke, proposed roughly $627,000,000 in additional general-fund investments over the biennium for K–12 and higher education priorities, including increases to the at-risk add-on, per-pupil infrastructure/operations funding, expanded support for school breakfast programs, and money intended to raise teacher pay by an additional 1 percentage point each year so that total annual increases reach 3% when combined with the governor’s proposal. The subcommittee also included $50,000,000 for an early-childhood pilot to partner with employers and private entities to expand childcare slots.

Economic Development and Natural Resources recommendations included a $50,000,000 deposit to the Virginia Housing Trust Fund, $13,000,000 for eviction prevention and diversion efforts, and proposals for substantial water-quality and wastewater-treatment investments, as well as transfers to support local site-development grants. The Capital Outlay and Transportation report directed retiring the data-center sales and use tax exemption (scheduled to expire 01/01/2027 in the package) to generate ongoing revenue for the Commonwealth Transportation Fund and allocated new funds for transit, including additional support for WMATA.

The General Government report sought to strengthen state workforce compensation and benefits, endorsing increases that the subcommittee said would total $560,000,000 over the biennium and maintain a 2% increase for state-supported local employees. Public Safety and Claims recommended additional grant funding for violence-reduction and victim services, support for state police personnel and delayed timing for one trooper school to allow further review.

Resources subcommittee staff outlined the revenue and offsets that support the amended package: general fund totals of about $37.7 billion in FY27 and $36.4 billion in FY28, net resource actions of roughly $3.1 billion that include carryforward balances and additional revenues, and discrete revenue changes such as adjustment of the standard deduction and the expiration of the data-center computer equipment sales/use tax exemption. The resources report also called for a $100 rebate for single filers and $200 for married filers in FY27 funded in the package.

On procedural motions, subcommittee reports were moved and agreed to by voice votes throughout the meeting. Senator Locke moved to report SB30 as amended by the subcommittee reports; the committee then conducted an electronic vote that registered 11 yes, 0 no and 3 abstentions. Senator McDougall said he would abstain, citing concern about the fiscal impact and the need for further conversation; Senator Stewart said he supported the package because it contained no tax increases.

The chair declared the motion passed, thanked staff (including director April Keyes) for their work, and the committee adjourned.

What happens next: The committee reported SB30 as amended according to the record of the meeting. The transcript records the committee’s vote and motions; the article does not infer subsequent floor action or Governor’s approval.